Market6 Company Profile

Background

Overview

Founded in 2002, Market6 was a provider of web-based retail analytic applications designed to enhance collaboration between retailers and consumer packaged goods (CPG) companies. The company's mission was to facilitate smarter, faster, and more proactive operational decisions through advanced analytics, thereby improving marketing, operations, and supply chain efficiency. Market6's solutions were purpose-built to improve daily retail operations and business results, delivering a simple packaged solution that allowed teams to quickly and easily know exactly what's happening with their business in real time and how best to respond.

Industry Significance

Market6 played a pivotal role in the retail and CPG industries by providing tools that enabled better collaboration and data-driven decision-making. Its solutions were utilized daily by major supermarket chains, including Kroger, and over 1,000 CPG partners, underscoring its significant impact on the industry.

Key Strategic Focus

Core Objectives

Market6 focused on delivering collaborative planning and execution applications with built-in advanced analytics. The primary objective was to guide retailers and CPG companies toward more informed and proactive operational decisions, enhancing overall performance.

Areas of Specialization

The company specialized in:

Supply Chain Management: Optimizing inventory levels and reducing out-of-stock situations.

Merchandising: Enhancing promotional effectiveness and new product introductions.

Sales Tracking: Providing real-time insights into sales performance.

Key Technologies Utilized

Market6's solutions integrated with existing retailer and manufacturer infrastructures, offering advanced analytics and real-time data processing capabilities. This integration enabled seamless data sharing and collaborative decision-making.

Primary Markets Targeted

The company's primary market included large supermarket chains and their CPG suppliers, focusing on improving joint business planning and execution.

Financials and Funding

Funding History

Market6 secured a total of $11 million in funding over its operational period. Key funding milestones included:

Series A Funding (June 2006): Raised $5.5 million.

Debt Financing (December 2010): Secured $1.5 million.

Debt Financing (December 2011): Additional funding obtained.

Notable Investors

Investors included Rho Ventures, Sevin Rosen Funds, and Western Technology Investment.

Utilization of Capital

The capital raised was primarily used to enhance product development, expand customer acquisition efforts, and scale operations to meet growing market demand.

Pipeline Development

Key Products

Market6 offered two main product families:

Market6 Vantage JBP: Simplified joint business planning, enabling closer collaboration between trading partners to achieve mutual goals.

Market6 Vantage Foundation: Facilitated better retailer/supplier collaboration around sales tracking, merchandising, supply chain, and promotion executions.

Product Development Stages

Both products were fully developed and deployed across a broad customer base, continually enhanced to meet evolving industry needs.

Target Conditions

The solutions targeted challenges such as inventory management inefficiencies, suboptimal promotional strategies, and lack of real-time sales insights.

Timelines for Milestones

Significant milestones included surpassing 1,000 customers and achieving a 931% revenue growth over three years by 2015.

Technological Platform and Innovation

Proprietary Technologies

Market6 developed a cloud-based analytics platform that integrated seamlessly with retailers' and manufacturers' existing infrastructures, providing real-time data processing and advanced analytics capabilities.

Significant Scientific Methods

The platform utilized predictive analytics and machine learning algorithms to forecast demand, optimize inventory levels, and enhance promotional effectiveness.

Leadership Team

Key Executives

Jim Kelly: Chief Executive Officer.

Wayne Levy: Co-founder and Chief Science Officer.

Bill Purcell: Co-founder.

Professional Backgrounds

Jim Kelly: Led the company through significant growth phases, focusing on strategic partnerships and product development.

Wayne Levy: Brought extensive experience in sales and logistics information, instrumental in developing the company's analytics platform.

Bill Purcell: Co-founded the company, contributing to its strategic direction and technological advancements.

Key Contributions

The leadership team was pivotal in securing major clients, such as Kroger, and driving the company's rapid growth and industry recognition.

Leadership Changes

In August 2016, Market6 was acquired by 84.51°, Kroger's analytics subsidiary. Post-acquisition, 55 Market6 employees joined 84.51°'s headquarters, while the Deerfield office continued operations.

Competitor Profile

Market Insights and Dynamics

The retail analytics market has been experiencing significant growth, driven by the increasing need for data-driven decision-making in retail and CPG sectors. The demand for solutions that enhance collaboration between retailers and suppliers has been a key market driver.

Competitor Analysis

Key competitors included:

ToolsGroup: Specialized in supply chain planning and optimization solutions.

Plex Systems: Offered cloud-based manufacturing ERP software.

Freestyle Solutions: Provided order and inventory management solutions.

Syncron: Focused on after-sales service optimization.

Zoho Corporation: Offered a suite of online productivity tools and SaaS applications.

Competitive Landscape

Market6 distinguished itself through its focus on retailer-supplier collaboration, real-time analytics, and seamless integration with existing infrastructures, providing a comprehensive solution tailored to the grocery retail sector.

Strategic Collaborations and Partnerships

Significant Collaborations

The Partnering Group (TPG): In June 2013, Market6 formed a strategic alliance with TPG to deliver new analytic applications based on proven business processes, enhancing the value provided to clients.

Kroger: Established a significant partnership, with Market6's solutions being used daily by Kroger and over 1,000 of its CPG partners.

Impact on Market Position

These collaborations strengthened Market6's market position by expanding its customer base and enhancing its product offerings through integrated best practices and analytics.

Operational Insights

Strategic Considerations

Market6's focus on real-time data analytics and collaborative platforms provided a competitive edge in the retail analytics market. Its ability to integrate with existing infrastructures and deliver actionable insights positioned the company as a valuable partner for retailers and CPG companies.

Market Position

The company's rapid growth and industry recognition, including being named to the Inc. 500 Fastest Growing Private Companies list for two consecutive years, underscored its strong market position.

Distinct Competitive Advantages

Market6's proprietary analytics platform, focus on retailer-supplier collaboration, and ability to deliver real-time insights were key differentiators in the competitive landscape.

Strategic Opportunities and Future Directions

Strategic Roadmap

Prior to its acquisition, Market6 was focused on expanding its product offerings, enhancing its analytics capabilities, and growing its customer base.

Opportunities for Expansion

The company aimed to leverage its existing partnerships and technological platform to enter new markets and sectors within the retail and CPG industries.

Positioning for Future Objectives

Market6's strong foundation in analytics and collaboration positioned it well to continue driving innovation and delivering value to its clients under the 84.51° umbrella.